2026 Tax Year · Single Filer · Tennessee

$16 an Hour in Tennessee — After-Tax Take-Home (2026)

At $16/hour (2,080 hours/year), your gross annual income is $33,280. After federal income tax, Social Security, Medicare (Tennessee has no state income tax), your take-home pay is $13.90/hr. In Tennessee's medium cost-of-living environment, this is below what's needed for comfortable living in Tennessee.

Gross Annual
$33,280
Net Annual
$28,920
Net Monthly
$2,410
Net Hourly
$13.90

Pay Period Breakdown

Period Gross Tax Net
Hourly $16.00 $2.10 $13.90
Daily (8 hrs) $128.00 $16.77 $111.23
Weekly (40 hrs) $640.00 $83.84 $556.16
Biweekly $1,280.00 $167.67 $1,112.33
Monthly $2,773.33 $363.29 $2,410.04
Annual $33,280 $4,360 $28,920

Full Tax Breakdown — Tennessee, Single Filer

Item Rate / Notes Amount
Gross Annual Income $16/hr × 2,080 hrs $33,280
Federal Standard Deduction Single 2026 −$16,100
Federal Taxable Income $17,180
Federal Income Tax 5.4% −$1,813.60
Social Security (6.2%) up to $168,600 −$2,063.36
Medicare (1.45%) −$482.56
Tennessee State Income Tax No state income tax $0.00
Total Tax 13.1% effective −$4,359.52
Net Take-Home $28,920

How Does Tennessee Compare?

See how $16/hr take-home differs in other states at the same wage:

State State Tax Net Monthly Net Annual
California $505.58 $2,368/mo $28,415 Florida None $2,410/mo $28,920 New York $1,064.45 $2,321/mo $27,856 Texas None $2,410/mo $28,920 Washington None $2,410/mo $28,920
Open Full Calculator for Tennessee — $16/hr →

Equivalent Annual Salary Pages

$16/hr = $33,280/year gross. See the full state-by-state salary breakdown:

$33,280 salary in Tennessee — full breakdown $33,280 after tax in Tennessee $33,280 salary to hourly Tennessee paycheck calculator

Adjacent Rates in Tennessee

$13/hr in Tennessee$14/hr in Tennessee$15/hr in Tennessee$17/hr in Tennessee$18/hr in Tennessee$19/hr in Tennessee

Same Rate, Other States

$16/hr in Alabama$16/hr in Alaska$16/hr in Arizona$16/hr in Arkansas$16/hr in California$16/hr in Colorado

Cost of Living in Tennessee

✗ Difficult — $16/hr falls short in Tennessee
  • Avg 1BR rent in Nashville: $1,200/mo — over the 30% rule (43% of gross monthly)
  • Minimum comfortable income in Tennessee: $40,000/yr
  • Your net annual: $28,920 ($11,080 below comfortable threshold)
  • Purchasing power equivalent in Texas: ~$16.8/hr

Working at $16/hr in Tennessee

At this wage level, Tennessee's zero income tax creates a meaningful take-home advantage. Nashville's growth has pushed costs up significantly, but outside the Nashville metro — Knoxville, Chattanooga, Memphis — this income goes considerably further. The high sales tax is the primary financial headwind.

At ${rate}/hr, you work roughly 87 hours each month to cover a typical 1BR in Nashville (${rent.toLocaleString()}/mo) -- that's above the 30% gross income guideline. This wage is 2.2x Tennessee's federal minimum wage of ${ctx.minWage}/hr. Your combined effective tax rate at ${rate}/hr in Tennessee is 13.1% -- federal income tax accounts for 5.4%, FICA 7.6% (no Tennessee state income tax).

Tennessee's economy has transformed dramatically. Nashville is now a major healthcare (HCA Healthcare HQ), music, and tech hub. Memphis is a logistics powerhouse (FedEx world HQ). Volkswagen, GM, and Ford all have major manufacturing facilities in the state. The state has attracted significant corporate relocations.

Tennessee has no income tax on wages — wages have never been taxed at the state level. The Hall Tax on investment income was fully eliminated in 2021. Tennessee has no estate tax. The state relies on sales tax, which averages 9.55% — among the highest in the US.

Tennessee follows the federal minimum wage of $7.25/hr.

Monthly Budget on $16/hr in Tennessee

Based on $2,410/month take-home. Percentages follow common 50/30/20 guidelines adjusted for Tennessee's cost of living.

Category Monthly Annual % of Net
Rent / Housing $1,200 $14,400 49.8%
Food (groceries + dining) $289 $3,468 12.0%
Transportation $241 $2,892 10.0%
Utilities $145 $1,740 6.0%
Healthcare $121 $1,452 5.0%
Entertainment $121 $1,452 5.0%
Savings (10% target) $241 $2,892 10.0%
Remaining / Surplus $52 $624 2.2%

Overtime Pay — $16/hr in Tennessee

At time-and-a-half ($24.00/hr), here's what overtime adds to your annual net income in Tennessee. Your marginal tax rate at this income level is ~13.5%.

Extra Hours/Week OT Gross/Week Net/Week (est.) Added Net/Year
5 hrs/week $120 $104 $5,200
10 hrs/week $240 $208 $10,400
20 hrs/week $480 $415 $20,750

Hours to Afford Common Purchases at $16/hr

How many hours of work (gross) to buy common items. Actual cost in after-tax hours is higher — divide by your $13.90 net hourly rate for the true cost in time.

Purchase Price Gross Hours Net Hours
Tank of gas (12 gal) $50 3.2 hrs 3.6 hrs
Week of groceries $120 7.5 hrs 8.7 hrs
iPhone 16 (base) $799 50 hrs 57.5 hrs
1 month rent (Nashville) $1,200 75 hrs 86.4 hrs
Used car ($10k) $10,000 625 hrs 719.3 hrs
Median new car ($48k) $48,000 3000 hrs 3452.3 hrs

Frequently Asked Questions

16 an hour -- is it a good wage in Tennessee?

16/hr in Tennessee gives you $28,920/year after taxes -- below what's needed for comfortable living in Tennessee. Avg 1BR rent in Nashville: $1,200/month (exceeds the 30% rule).

What is 16 an hour after taxes in Tennessee?

16/hr in Tennessee = $28,920/year or $2,410/month net. Effective rate: 13.1%.

How does 16/hr go further -- Tennessee or Texas?

16/hr in Tennessee has similar purchasing power to ~16.8/hr in Texas.

What does 16/hr look like as a monthly budget in Tennessee?

On $2,410/month in Tennessee: rent $1,200, food $289, transport $241, savings $241, surplus ~$52.

How much does overtime add at 16/hr in Tennessee?

At 1.5x (24.00/hr OT), 5 extra hrs/week adds ~$5,200/year net; 10 hrs/week adds ~$10,400/year.